Rights and Responsibilities

When you borrow from the Stafford and Grad Plus Loan loan program you have certain rights and responsibilities associated with loans. Your MPN contains a rights and responsibilities statement. It includes the following:

Rights

To written information on your loan obligation and information on your rights and responsibilities.

To a grace period

To information, before you enter repayment on interest rate, fees, balance owed and the amount and number of monthly payments.

To a deferment, if you qualify and request it.

To forbearance, if you qualify and request it.

To prepay your loan in whole or part without penalty.

A copy of your MPN and return of your prom note when your loan is paid in full.

Documentation that my loan(s) is paid in full.

Responsibilities

Attend an Exit Interview when you leave school.

To repay my loans(s) even if I do not complete my academic program, I am dissatisfied with the education I received, or am unable to find employment after graduation.

Make payments according to your repayment schedule.

Notify your lender/holder of the following and anything that might affect your eligibility for deferment, ability to pay, or if you qualify for cancellation.

Move/Change address or telephone.

Change name or social security number.

Withdraw, transfer or drop below ½ time enrollment.

Fail to enroll for a period covered by the loan.

Change your graduation date or graduate.

I have a right to the grace period on my Stafford loans

True

False

You do have a right to a grace period on your Stafford loans

I may not prepay my loan

True

False

You may prepay your loan

It is my responsibility to notify my servicer of any name, address, or status change

True

False

It is your responsibility to notify bank of any name, address, or status change

Once I leave school, I cannot have any additional deferments

True

False

Once you leave school, you can have additional deferments

Lastly you must fill out a questionnaire, your financial aid entrance interview is not complete until you do so.